Progress and Poverty, Volumes I and II: An Inquiry into the Cause of Industrial Depressions and of Increase of Want with Increase of WealthGeorge, Henry
General
Progress and Poverty, Volumes I and II: An Inquiry into the Cause of Industrial Depressions and of Increase of Want with Increase of Wealth
George, Henry
Economics; Single tax
And where value seems to arise from superior natural qualities, such
as deep water and good anchorage, rich deposits of coal and iron, or
heavy timber, observation also shows that these superior qualities are
brought out, rendered tangible, by population. The coal and iron fields
of Pennsylvania, that to-day are worth enormous sums, were fifty years
ago valueless. What is the efficient cause of the difference? Simply
the difference in population. The coal and iron beds of Wyoming and
Montana, which to-day are valueless, will, in fifty years from now, be
worth millions on millions, simply because, in the meantime, population
will have greatly increased.
It is a well provisioned ship, this on which we sail through space. If
the bread and beef above decks seem to grow scarce, we but open a hatch
and there is a new supply, of which before we never dreamed. And very
great command over the services of others comes to those who as the
hatches are opened are permitted to say, “This is mine!”
To recapitulate: The effect of increasing population upon the
distribution of wealth is to increase rent, and consequently to
diminish the proportion of the produce which goes to capital and labor,
in two ways: First, By lowering the margin of cultivation. Second, By
bringing out in land special capabilities otherwise latent, and by
attaching special capabilities to particular lands.
I am disposed to think that the latter mode, to which little attention
has been given by political economists, is really the more important.
But this, in our inquiry, is not a matter of moment.
CHAPTER III.
THE EFFECT OF IMPROVEMENTS IN THE ARTS UPON THE DISTRIBUTION OF WEALTH.
Eliminating improvements in the arts, we have seen the effects of
increase of population upon the distribution of wealth. Eliminating
increase of population, let us now see what effect improvements in the
arts of production have upon distribution.
We have seen that increase of population increases rent, rather by
increasing the productiveness of labor than by decreasing it. If it
can now be shown that, irrespective of the increase of population, the
effect of improvements in methods of production and exchange is to
increase rent, the disproof of the Malthusian theory—and of all the
doctrines derived from or related to it—will be final and complete, for
we shall have accounted for the tendency of material progress to lower
wages and depress the condition of the lowest class, without recourse
to the theory of increasing pressure against the means of subsistence.
That this is the case will, I think, appear on the slightest
consideration.
The effect of inventions and improvements in the productive arts is to
save labor—that is, to enable the same result to be secured with less
labor, or a greater result with the same labor.
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